Subsequent Event |
6 Months Ended |
|---|---|
Jun. 30, 2019 | |
| Subsequent Events [Abstract] | |
| Subsequent Event |
Subsequent Event
Amendments to the Senior Secured Term Loan and Second Lien Notes
On July 19, 2019, the Company entered into the 2017 Credit Agreement Amendment (“Amendment”), which, among other things, upsized the Term Loan by $40 million, reduced scheduled principal repayments over the next six quarters by an aggregate amount of approximately $26 million and provided additional stock pledges (including the remaining 35% of the equity interests of first tier foreign subsidiaries that were previously not pledged) as collateral. Net of fees and expenses, the 2017 Credit Agreement Amendment will result in approximately $61 million of incremental liquidity over the next 18 months. In addition, the Amendment increased the Company’s Consolidated 1st Lien Net Leverage Ratio requirement from 4.5:1 to 8:1 with retroactive compliance date of June 30, 2019. Concurrently with entering into the Amendment, the Company also entered into the Second Lien Amendment relating to the Second Lien Notes, which, among other things, removed the ability to make any cash interest payments under the Second Lien Notes so long as such payments are prohibited by the terms of the 2017 Credit Agreement, added collateral for the Second Lien Notes consistent with the additional collateral provided under the 2017 Credit Agreement and modified the prepayment premium schedule. This supplements the Company’s approximately $49.8 million of liquidity as of June 30, 2019, which includes cash and unused revolver capacity, and further enables the Company to focus on executing its growth plans.
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